55258 Federal Register / Vol. 71, No. 183 / Thursday, September 21, 2006 / Notices 

10The Schedule set forth the Transaction and 

Comparison fees assessed on Linkage Orders. 

11 In approving this proposed rule change, the 

Commission has considered the proposed rule’s 

impact on efficiency, competition, and capital 

formation. See 15 U.S.C. 78c(f). 

12 15 U.S.C. 78f(b)(4). 

13 15 U.S.C. 78s(b)(2). 

14See supra note 9. 

15 15 U.S.C. 78s(b)(2). 

16 15 U.S.C. 78s(b)(2). 

17 17 CFR 200.30–3(a)(12). 

1 15 U.S.C. 78s(b)(1). 

2Securities Exchange Act Release No. 54060 

(June 28, 2006), 71 FR 38961. 

3The amendment, as noted below, is not 

substantive and did not require republication of the 

notice. Infra, note 4 and accompanying text. 

electronically executed Linkage Orders 

also will be charged $0.50 per contract. 

The Exchange acknowledges that the 

Exchange’s previous version of its 

Schedule did not reflect that the BD 

Surcharge was imposed on 

electronically executed Linkage 

Orders.10 In Amendment No. 4, the 

Exchange proposes to modify the 

Schedule to make clear that the BD 

Surcharge will be included as a 

component of the $0.50 fee assessed for 

electronically executed Linkage Orders. 

III. Discussion and Commission 

Findings 

The Commission has reviewed 

carefully the proposed rule change, as 

amended, and finds that it is consistent 

with the requirements of the Act and the 

rules and regulations thereunder 

applicable to a national securities 

exchange.11 In particular, the 

Commission believes that the proposal 

is consistent with Section 6(b)(4) of the 

Act,12 which requires that the rules of 

an exchange provide an equitable 

allocation of reasonable dues, fees and 

other charges among its members and 

other persons using its facilities. Under 

the current NYSE Arca Schedule, 

manually executed BD orders are 

charged $0.26 per contract and 

electronically executed orders from 

broker-dealers are charged $0.50 per 

contract. The Exchange proposed that 

manually executed Linkage Orders be 

charged $0.26 per contract and 

electronically executed Linkage Orders 

be charged $0.50 per contract. 

Accordingly, the Commission believes 

that the Exchange’s proposed Schedule 

clearly sets forth the fees imposed on 

Linkage Orders. 

As discussed above, the Exchange 

acknowledges, in Amendment No. 4, 

that prior versions of its Schedule did 

not represent that the $0.25 BD 

Surcharge was applied to electronically 

executed Linkage Orders. Because the 

Exchange assessed the BD Surcharge on 

Linkage Orders prior to this approval 

and, therefore, without authority, 

parties assessed the BD Surcharge for 

Linkage Orders prior to the approval of 

this proposed rule change may seek 

reimbursement. 

The Commission finds good cause for 

approving proposed Amendment No. 4 

before the 30th day after the date of 

publication of notice of filing thereof in 

the Federal Register pursuant to Section 

19(b)(2) of the Act.13 The Exchange filed 

Amendment No. 4 to reconcile the 

proposed rules in the original filing, as 

amended, with the Exchange’s current 

rules, which reflect an immediately 

effective proposed rule change filed 

after this proposed rule change was 

published for comment.14 The 

Commission believes that in 

Amendment No. 4, the Exchange 

proposes no significant changes to the 

fees proposed in the original filing. 

Therefore, the Commission finds good 

cause exists to accelerate approval of 

Amendment No. 4, pursuant to Section 

19(b)(2) of the Act.15

IV. Solicitation of Comments 

Interested persons are invited to 

submit written data, views, and 

arguments concerning Amendment No. 

4, including whether Amendment No. 4 

is consistent with the Act. Comments 

may be submitted by any of the 

following methods: 

Electronic Comments 

• Use the Commission’s Internet 

comment form (http://www.sec.gov/ 

rules/sro.shtml); or 

• Send an e-mail to rulecomments@sec.gov. Please include File 

Number SR–NYSEArca–2006–20 on the 

subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Nancy M. Morris, Secretary, 

Securities and Exchange Commission, 

Station Place, 100 F Street, NE., 

Washington, DC 20549–1090. 

All submissions should refer to 

Amendment No. 4 to SR–NYSEArca–

2006–20. This file number should be 

included on the subject line if e-mail is 

used. To help the Commission process 

and review your comments more 

efficiently, please use only one method. 

The Commission will post all comments 

on the Commission’s Internet Web site 

(http://www.sec.gov/rules/sro.shtml). 

Copies of the submission, all subsequent 

amendments, all written statements 

with respect to the proposed rule 

change that are filed with the 

Commission, and all written 

communications relating to the 

proposed rule change between the 

Commission and any person, other than 

those that may be withheld from the 

public in accordance with the 

provisions of 5 U.S.C. 552, will be 

available for inspection and copying in 

the Commission’s Public Reference 

Room. Copies of such filing also will be 

available for inspection and copying at 

the principal offices of the Exchange. 

All comments received will be posted 

without change; the Commission does 

not edit personal identifying 

information from submissions. You 

should submit only information that 

you wish to make available publicly. All 

submissions should refer to Amendment 

No. 4 to SR–NYSEArca–2006–20 and 

should be submitted on or before 

October 12, 2006. 

V. Conclusion 

It is therefore ordered, pursuant to 

Section 19(b)(2) of the Act,16 that 

Amendment No. 4 to the proposed rule 

change (SR–NYSEArca–2006–20) be, 

and hereby is, approved on an 

accelerated basis. 

For the Commission, by the Division of 

Market Regulation, pursuant to delegated 

authority.17

J. Lynn Taylor, 

Assistant Secretary. 

[FR Doc. 06–7842 Filed 9–20–06; 8:45 am] 

BILLING CODE 8010–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–54448; File No. SR–OCC–

2006–07] 

Self-Regulatory Organizations; The 

Options Clearing Corporation; Order 

Approving Proposed Rule Change 

Relating to a Surcharge for NonClearing Member Subscribers That 

Have Not Met a Mandated Conversion 

Date for Its Data Distribution Service 

September 14, 2006. 

I. Introduction 

On May 15, 2006, The Options 

Clearing Corporation (‘‘OCC’’) filed with 

the Securities and Exchange 

Commission (‘‘Commission’’) proposed 

rule change SR-OCC–2006–07 pursuant 

to Section 19(b)(1) of the Securities 

Exchange Act of 1934 (‘‘Act’’).1 Notice 

of the proposal was published in the 

Federal Register on July 10, 2006.2 On 

July 21, 2006, OCC amended the 

proposed rule change.3 No comment 

letters were received. For the reasons 

discussed below, the Commission is 

approving the proposed rule change. 


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Federal Register / Vol. 71, No. 183 / Thursday, September 21, 2006 / Notices 55259 

4Pursuant to a separate rule change, OCC will 

impose the $1,000 per month surcharge on clearing 

member subscribers to DDS that likewise fail to 

convert to the new format. Implementation of the 

surcharge on clearing members is pending approval 

of this rule filing by the Commission. Securities 

Exchange Act Release No. 54059 (June 28, 2006), 71 

FR 38962 (July 10, 2006) [File No. SR–CC–2006–

06]. 

5The March 30, 2007, termination date was the 

subject of the amendment to the proposed rule 

change filed on July 21, 2006. 

6 15 U.S.C. 78q–1(b)(3)(D). 

7 15 U.S.C. 78s(b)(2). 

8 17 CFR 200.30–3(a)(12). 

II. Description 

The purpose of the rule change is to 

implement a surcharge to the monthly 

service fee charged to non-clearing 

member subscribers of OCC’s Data 

Distribution Service (‘‘DDS’’) that have 

not converted to the new DDS format by 

the revised mandated conversion date of 

September 29, 2006. 

Both clearing members and nonclearing members may subscribe to 

DDS. A clearing member may subscribe 

to DDS in order to receive in a machine 

readable format data processed by OCC 

that is proprietary to such clearing 

member (e.g., position and post-trade 

entries) as well as non-proprietary data 

(i.e., data not specific to the clearing 

member) produced by OCC (e.g., 

information relating to series and 

prices). Non-clearing members may 

subscribe to DDS in order to receive 

certain non-proprietary data. 

In December, 2004, OCC informed all 

DDS subscribers that OCC was requiring 

them to convert to the new ENCORE 

DDS format by February 28, 2006. 

Although OCC diligently worked with 

subscribers to facilitate their 

implementation of the new DDS format, 

it became apparent that some 

subscribers needed additional time in 

order to complete their systems work. 

Accordingly, in December, 2005, OCC 

announced an extension of the 

mandated conversion date to September 

29, 2006. 

After the mandated conversion date, 

OCC will continue to support the old 

legacy data service distribution system. 

However, for subscribers that do not 

meet the revised conversion date of 

September 29, 2006, OCC will charge a 

monthly surcharge of $1,000 per month 

in order to reasonably allocate the costs 

of continuing to support the old legacy 

data distribution system.4 The surcharge 

will be imposed starting with the 

October 2006 billing cycle and will 

continue until the subscriber converts to 

the new DDS format and ceases to 

receive any legacy data service 

distribution transmissions. OCC will 

terminate all legacy data service 

transmissions after March 30, 2007.5

III. Discussion 

Section 17A(b)(3)(D) of the Act 

requires that the rules of a clearing 

agency provide for the equitable 

allocation of reasonable dues, fees, and 

other charges.6 The Commission finds 

that OCC’s proposed rule change is 

consistent with this requirement 

because by establishing a surcharge for 

continued use of its old legacy data 

distribution system, OCC will be able to 

more equitably allocate its cost of 

providing continued service to those 

DDS subscribers that have failed to 

convert to OCC’s ENCORE DDS format. 

IV. Conclusion 

On the basis of the foregoing, the 

Commission finds that the proposed 

rule change is consistent with the 

requirements of the Act and in 

particular Section 17A of the Act and 

the rules and regulations thereunder. 

It is therefore ordered, pursuant to 

Section 19(b)(2) of the Act,7 that the 

proposed rule change (File No. SR–

OCC–2006–07) be and hereby is 

approved. 

For the Commission by the Division of 

Market Regulation, pursuant to delegated 

authority.8

Jill M. Peterson, 

Assistant Secretary. 

[FR Doc. 06–7839 Filed 9–20–06; 8:45 am] 

BILLING CODE 8010–01–P 

DEPARTMENT OF STATE 

[Public Notice 5551] 

Bureau of Educational and Cultural 

Affairs (ECA) Request for Grant 

Proposals: The Future Leaders 

Exchange Program: Host Family and 

School Placement 

Announcement Type: New Grant. 

Funding Opportunity Number: ECA/ 

PE/C/PY–07–06. 

Catalog of Federal Domestic 

Assistance Number: 00.000. 

Key Dates: Application Deadline: 

December 4, 2006. 

Executive Summary 

SUMMARY: The Youth Programs Division 

of the Bureau of Educational and 

Cultural Affairs announces an open 

competition for the placement 

component of the Future Leaders 

Exchange (FLEX) program. Public and 

private non-profit organizations meeting 

the provisions described in Internal 

Revenue Code section 26 U.S.C. 

501(c)(3) may submit proposals to 

recruit and select host families and 

schools for high school students 

between the ages of 15 and 17 from 

countries of the former Soviet Union, 

thereafter referred to as Eurasia. This 

solicitation and the activities to which 

it refers, applies only to FLEX students 

from the following Eurasian countries: 

Armenia, Azerbaijan, Belarus, Georgia, 

Kazakhstan, Kyrgyzstan, Moldova, 

Russia, Tajikistan, Turkmenistan, 

Ukraine, and Uzbekistan. 

In addition to identifying schools and 

screening, selecting, and orienting 

families, organizations will be 

responsible for: (1) Providing English 

language enhancement activities for a 

small percentage of students who are 

specially identified; (2) orienting all 

students at the local level; (3) providing 

support services for students; (4) 

arranging enhancement activities and 

skill-building opportunities; (5) 

assessing student performance and 

progress; (6) providing mid-year 

programming and re-entry training; and 

(7) evaluating project success. 

Preference will be given to those 

organizations that offer participants 

opportunities to develop leadership 

skills and raise their awareness of 

tolerance and social justice through 

community activities and networks. The 

award of grants and the number of 

students who will participate is subject 

to the availability of funding in fiscal 

year 2007. 

I. Funding Opportunity Description 

Authority: Overall grant making 

authority for this program is contained 

in the Mutual Educational and Cultural 

Exchange Act of 1961, as amended, 

Public Law 87–256, also known as the 

Fulbright-Hays Act. The purpose of the 

Act is ‘‘to enable the Government of the 

United States to increase mutual 

understanding between the people of 

the United States and the people of 

other countries * * *; to strengthen the 

ties which unite us with other nations 

by demonstrating the educational and 

cultural interests, developments, and 

achievements of the people of the 

United States and other nations * * * 

and thus to assist in the development of 

friendly, sympathetic, and peaceful 

relations between the United States and 

the other countries of the world.’’ The 

funding authority for the program above 

is provided through legislation. 

Overview: The Future Leaders 

Exchange Program seeks to provide 

1,200 high school students with an 

opportunity to live in the United States 

for the purpose of promoting democratic 

values and institutions throughout 

Eurasia. Participants will reside with 


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